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China Eastern, Wuhan Form Venture

Updated March 20, 2002 4:47 a.m. ET

China Eastern Airlines said it will form a 700 million yuan ($84.5 million) joint venture with Wuhan Airlines and two other minority partners. China Eastern Airlines and Wuhan Airlines will each own 40% of the company, while the other two partners will own the rest. The parties have signed a preliminary agreement, which was recently approved by the Civil Aviation Administration of China, the industry regulator. Now that it has received approval, China Eastern said in a statement that "the company and Wuhan Airlines will further negotiate the specific terms and conditions, and the implementation of the proposed transaction...